Complementary Technologies
Renewable Energy Sources Renewable energy sources such as wind power and solar power are hugely important to Smart Power Grids, as a large part of their value is their potential with renewable energy sources. Smart Power Grids offer many benefits that make them ideal for usage with renewable energy sources, including accepting multiple power inputs and having power reservoirs to account for fluctuations. This is important because at the moment, renewable energy sources are being held back from their full potential by the current power grid that is not conducive to the remote, multi-input nature of renewable energy. By having an infrastructure that supports and encourages renewable energy, Smart Power Grids allow the renewable energy industry to flourish and make further progress towards sidelining traditional, emission-producing power plants. Through promoting the use of renewable energy, Smart Power Grids are able to promise massive future benefits, and as such, renewable energy is an enormous component of their value. Without renewable energy, Smart Power Grids would simply be a little more efficient and more reliable, but there would not be nearly as much ecological and economic benefit. It's undeniable that renewable energy is integral to Smart Power Grids, but at the present time renewable energy makes a very small portion of the world's energy. This low penetration rate is largely due to the aforementioned incompatabilities with the current power grid, and as such it is unlikely to expand dramatically before Smart Power Grids are implemented. Due to their importance to the inherent value of Smart Power Grids, it can be assumed that when the grids begin deployment, renewable energy sources will expand to scale. Energy Management Systems (EMS) In order for consumers to personally make the most of Smart Power Grids, they need to have an Energy Management System (EMS). EMSs will take advantage of the enhanced information systems made available by Smart Power Grids and give consumers a real-time readout of their energy usage in a easy-to-understand format. This give Smart Power Grids enormous value to consumers because it will allow them to actively see how much energy they're using, as well as see how much energy any given appliance consumes, which in turn lets them make more informed decisions about how to use their energy. Futhermore, EMSs will offer settings that automatically turn some appliances off when energy prices are highest, as well as settings that make your appliances primarily use power when energy prices are lowest. In addition, people who own smart appliances that can connect to a home network will be able to track the energy usage of each appliance through the EMS (which would be available on any computer or smartphone) and turn them on or off. EMSs would also be able to interact directly with these smart appliances, and if allowed to, modify their performance to fit the current energy demand (for example, causing a smart dishwasher to wait until peak energy demand has passed). These energy and money saving features of EMSs bring consumers a huge amount of value, and allow them to personally see benefit from Smart Power Grids. As EMSs are dependent on Smart Power Grids, they do not exist yet, but given how integral to the Smart Power Grid's value to consumers, it is effectively guaranteed that when Smart Power Grids are implemented, EMSs would be launched alongside them. Plug-In Electric Vehicles (PEVs) Plug-In Electric Vehicles (PEVs) are getting a larger and larger share of the consumer market, and while the vehicles themselves are eco friendly, the current power grid that supports them is not. With Smart Power Grids, PEVs will cost less to recharge, and their overall impact on electricity demand will be minimized. Smart Grid technologies will know to charge PEVs when energy demand is lowest and supply (from renewable energy sources such as wind turbines) is at a maximum (which is also when variable rates would be lowest). By charging them when demand is low and rates are low, Smart Power Grids minimize the cost of operating a PEV and ensure that PEVs do not overtax the power grid at peak times. Of course, there would still be an option to recharge your vehicle immediately if you do not have time to wait for the Smart Power Grid to charge it at an optimal time, but for most situations when someone comes home and plugs their car in for the night, the Smart Power Grid will be hugely beneficial. The relationship between PEVs and Smart Power Grids is mutually beneficial, as PEVs can actually act as emergency backups for power grids. In a concept that Smart Power Grid engineers are calling "vehicle to grid" people will be able to use their PEVs to plug into a power grid and not just take energy out, but to give it back as well. PEVs will be able to add more power to a grid during extremely high-demand times in order to prevend the grid from being overloaded and experiencing a blackout, and they will also be able to add power to certain parts of a grid in order to keepo them working during a blackout. While all of these uses of PEVs would be opt-in (and would likely carry some financial incentive for PEV owners), just having the potential is hugely exciting, and is a boon to both PEVs and Smart Power Grids. PEVs, though they are not necessary for Smart Power Grids' operation, they do add significant value to them. PEVs are widely available now, but they still need to make a great deal more penetration into the US car market. Given their growth rate in the past few years, we believe that its safe to predict that PEVs will have grown to capture a sufficient part of the market to be useful by the time that Smart Power Grids are implemented nationally.